The number of new housing starts in the region of
According to the Canadian Mortgage and Housing Corporation (CMHC), 1.125 units were put under construction between January and March 2010, compared to
According to Elizabeth Koulouris, principal analyst, the stability of the labour market and the weakness of the mortgage rates contribute to maintain a keen demand.
“The first quarter of 2009 was much less active. However, the weakness of the mortgage rates causes to stimulate the housing market. And as the ratio salesman-purchaser is weak, one notices an overflow on the side of construction”, she indicated.
The screw is tightened
At the end of 2009, the ratio in
“The market has tightened even more. One can see it easily. There are always rises in price in the region of
The stability of the labour market attracts each year new workers to the area who must find housing. Only for 2008, the migratory assessment gave a report of 5.500 newcomers.
“It is high. If one looks at the years 2000 to 2009, the data reflect the double of the previous decade. In the years 1990, one spoke about a migratory assessment of 20.000 people in the region of
The creation of new households and consequently the rise of family income, also form part of the factors explaining the “boom” which the region of
More top-of-the-range houses
Another new phenomenon, the CMHC notes an increase in the construction of top-of-the-range houses.
The market share for houses of 400.000 $ and more did not cease growing with the passing of years. Supported by second house purchasers, this market passed from 4%, in 2006, to 16%, in 2009.
“That can also be explained by the fact that the price of the land increased much,” Mrs. Koulouris adds.
For 2009, the average price of a house accounted for 294.000 $, including the land, which corresponds with an increase of 12% compared to 2008. The value of the land, for its part, grew by 45%, between 2006 and 2009.
According to the CMHC, the region of